BitcoinBitcoin ETFs in the United States Experience Initial Net Withdrawals in Nearly...

Bitcoin ETFs in the United States Experience Initial Net Withdrawals in Nearly Three Weeks Leading to Drop in BTC Price

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The past week saw significant outflows in the cryptocurrency market, with Grayscale’s GBTC experiencing the largest loss of $40 million. Valkyrie’s bitcoin ETF also faced net outflows of $16 million. This marked the end of a 19-day inflow streak for U.S. spot bitcoin exchange-traded funds, with a daily net outflow of $64.93 million reported on Monday.

Alongside Grayscale, other funds like Invesco and Galaxy Digital’s BTCO saw investor redemptions, with net withdrawals of $20 million each. Fidelity’s FBTC also recorded net outflows of $3 million, the first negative flow since May 2. On the contrary, BlackRock’s IBIT reported net inflows of $6 million and Bitwise’s BITB saw $8 million in net inflows.

The recent market trends have been influenced by a total of $4 billion in net inflows during the 19-day period. Uncertainty stemming from conflicting U.S. non-farm payroll statistics and unemployment data led to investors moving away from riskier assets, causing a drop in Bitcoin’s price last Friday. This trend continued with Bitcoin falling below $68,000 during the June 11 Asia trading session, declining by 3.60% within 24 hours to trade at $66,873.

The rejection of $69,000 as a support level and the loss of the 21-day moving average indicate a potential downward trend for Bitcoin. Traders and investors are closely monitoring this week’s U.S. economic data for potential impacts on market volatility. The current market collapse has raised concerns among traders about Bitcoin’s future performance.

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